Groome Industrial Service Group acquires W-S Companies to expand service offerings
In a significant development in the industrial services sector, Groome Industrial Service Group announced its acquisition of Iowa-based W-S Companies, Inc., a move that is set to redefine the landscape of specialty maintenance services across various industrial markets. This acquisition not only signifies the merging of two industry giants but also highlights the strategic intent to enhance service offerings and fortify their nationwide presence in the United States.
W-S Companies, Inc., founded in 1993 and headquartered in Council Bluffs, Iowa, stands as one of the nation’s leading veteran-owned and operated industrial and mechanical services conglomerates. With a portfolio encompassing eight entities and offices across the Midwest and Gulf Coast, W-S Companies, Inc. serves a broad spectrum of clients in sectors such as power, food and beverage, refining, utilities, chemical manufacturing, pulp and paper, municipal, upstream, and downstream. This acquisition brings together W-S Companies’ client-centric approach, underscored by its commitment to safety, integrity, and accountability, with Groome Industrial Service Group’s expansive service capabilities.
Jeff Bause, President & CEO of Groome, expressed enthusiasm about the acquisition, stating, “We are excited for W-S to join the Groome Team, creating a bigger and better specialty maintenance company with an even stronger nationwide presence.” He emphasized the complementary nature of the service mix offered by both companies, as well as the unique specialty services that this union brings to the forefront, making Groome one of the industry leaders with the broadest service offerings.
The sentiment of optimism is shared by Keven Shanahan, Managing Partner at Argosy Private Equity, who commented on the merger’s potential, “We are thrilled about the combination of Groome and W-S. Given Groome’s experience with previous acquisitions, we have confidence in the team’s demonstrated ability to execute integration plans.” He further highlighted the comprehensive suite of services that the merged entities will deliver on a national scale, reinforcing Groome’s market position and its commitment to delivering unparalleled value and support to its clients.
The integration process is already in motion, spearheaded by a dedicated team comprising management from both Groome and W-S, alongside Argosy’s integration team. This collaboration is focused on implementing Argosy’s Value Acceleration Methodology (VAM™) acquisition toolkit to streamline operations, harness synergies between the two companies, and drive growth for the newly combined entity. Additionally, the transaction received backing from Seacoast Capital and Ironwood Capital, which provided subordinated debt and an equity co-investment, further supporting the strategic acquisition.
This acquisition marks a pivotal moment for Groome Industrial Service Group and W-S Companies, Inc., as they embark on a journey to expand their service offerings, enhance client-centric approaches, and strengthen their presence across the nation. It underscores the commitment of both organizations to excellence, safety, and integrity, promising a future of growth and unparalleled service delivery in the industrial and mechanical services sector.